October 23: Merchandise exports of Nepal decreased by 34.9 percent in the first two months of the current fiscal year. According to the Current Macroeconomic and Financial Situation Report of Nepal Rastra Bank, the total export of Nepal in the review period stood at Rs 28.68 billion.

The report states that the country’s exports had increased by 115.4 percent in the corresponding period of the last fiscal year.

Destination-wise, exports to India and China decreased by 45.2 percent and 21.6 percent respectively whereas exports to other countries increased by 13.2 percent. Exports of zinc sheet, woolen carpets, readymade garments, medicine (ayurvedic), among others, increased whereas exports of soybean oil, palm oil, oil cakes, cardamom, toothpaste, among others, decreased in the review period, the report further said.

Similarly, the central bank said that merchandise imports decreased by 13.0 percent to Rs 273.60 billion during the first two months of FY 2022/23 against an increase of 75.9 percent a year ago.

Destination-wise, imports from India, China and other countries decreased by 9.5 percent, 13.3 percent, and 20.7 percent respectively.

Imports of petroleum products, chemical fertilizer, sponge iron, medicine, aircraft and spareparts, among others, increased whereas imports of transport equipment and parts, silver, crude soybean oil, hot rolled sheet in coil, MS billet, among others, decreased in the review period.

According to the report, Nepal’s trade deficit decreased by 9.4 percent to Rs 244.92 billion during the first two months of FY 2022/23. Such a deficit had increased 70.8 percent in the corresponding period of the previous year. The export-import ratio decreased to 10.5 percent in the review period from 14.0 percent in the corresponding period of the previous year.